Exploring Economics Unit 10 quiz

States that do not require union membership

Are open or right to work states

Wages or salary

Are the price of labor

Benefits

Are things of value that employers provide which are usually not taxable

Unions

Bargain collectively with industry regarding wages and working conditions

Downturns in the business cycle

Cause cyclical unemployment

Wages being above the equilibrium rsge

Causes classical unemployment

The US Dept of Labor

Defines the labor force in the US as all people sixteen or older who are employed or actively seeking work

Supply and demand

Determine the price employers pay for labor

To calculate unemployment,

Divide the number of people who are without a job but wanting to work by the total work force

Common ways that companies

Eliminate positions on their payrolls is by outsourcing and downsizing

Discouraged workers

Have not been able to find work and have stopped actively looking

The minimum wage

Is a legally mandated minimum hourly wage that all employers ( with some exceptions) must pay workers

A wage

Is an hourly rate paid for labor rendered

Economists call unions a cartel because they

Limit the supply of labor in the market

Structural unemployment

Occurs because of a mismatch between the skills that people have and the needs that employers have

Seasonal unemployment

Occurs when employers let go employees they hired temporarily during a particular season

Underemployment

Refers to people who are working at jobs that are beneath their skill level but are the only work they can find

Frictional unemployment

Refers to those who simply have not had the time to find a job

Today's largest and strongest unions

Represent government workers

A state's closed shop laws

Require workers in certain industries to be members of a union